Busy Bee: Mike Ashley’s Frasers Group is all over lately.
Frasers, which made a surprise takeover bid for Hugo Boss last month, said in a regulatory filing that it had amassed put options on 15 million shares of Burberry Group, giving it a 4.2 percent stake in the company.
Burberry has lately been showing some signs of a rebound, although investors have been slow to give the company credit.
First-quarter sales grew by 5 percent to 455 million pounds and were fueled by Gen Z and shoppers desire for trenchcoats, scarves and handbags. For the first time in three years, the company is growing across the women’s, men’s, accessories and children’s categories.
Comparable retail sales were also up 5 percent, marking the company’s fourth consecutive quarter of comp growth.
Chief executive officer Josh Schulman said he was pleased with the progress “and the momentum we are building with Burberry Forward.”
“Our strategy is working. We are attracting a broad range of luxury customers across product categories, channels and geographies, reinforcing my confidence in the opportunities ahead,” Schulman said.
Frasers, which has been led by CEO Michael Murray since 2022, is known for leaning in with its investments.
The group owns a range of retailers — from Sports Direct and Flannels to Gieves & Hawkes on Savile Row — and recently offered to add Boss to the stable.
Already, the group holds a 26 percent stake and offered to buy the rest of the company at 38 euros a share, although analysts see an actual buyout as a long shot.
But now there’s a new fashion front for Frasers, which seems to be always be on the move.
